Creating extra income by renting out a property can seem like a great idea. However, the realities of being a landlord can quickly turn this dream into a disaster, especially if you are doing it for the first time. Having to adhere to various codes and regulations while keeping your property in good repair and working order can seem like a full-time job.
Thankfully, there are service providers available who can take the stress out of managing your property by taking care of administrative, maintenance and day-to-day matters. In return for property management fees, you can assign all of these tasks over to specialists who are experienced in looking after properties, ensuring they are well-maintained and let to trustworthy tenants. It’s becoming more common for people to hire a residential property management team, and for good reasons.
If you are looking for someone to run the affairs of your rental for you this article will outline some of the services included as part of property management costs.
Property Maintenance
One of the main roles of being a landlord is dealing with maintenance issues. Whether it’s broken appliances, worn-out furniture or structural problems with the building, properties require attention, and many landlords do not have the time, interest or experience in dealing with such matters. From plumbing problems to electrical maintenance issues, there are a whole host of issues that can arise for which many landlords are unqualified or unequipped to handle.
A property management company is responsible for overseeing all property maintenance-related matters, ensuring it is a safe place for its residents. Most come with their own in-house team of qualified laborers or they have close working ties with contractors that work at a favorable rate, saving you money.
Screening Tenants
Before letting your property to the first tenants that can afford it, a property management company will carry out background checks and verify the information they have provided. As part of this screening process, they may run a credit check, a criminal background check as well as ask for and follow up on references from their old landlord.
In addition, they will collect a security deposit from the tenants which will be held in an escrow account, providing you with reassurance that if they default on their rent payments or damage your property, you can recover the lost income or pay for any damage.
Rent Collection
Making sure your tenants pay their rent on time and dealing with any arrears can be a stressful and costly business for any landlord. Luckily, such matters will be dealt with by your property management company. If tenants are unable to or fail to keep up with their rent payments, a property management company will also deal with the eviction process on your behalf.
Knowledge of Laws and Regulations
Being aware of landlord-tenant laws and regulations can be a lengthy and laborious process. A property management company will be up to date with all the latest requirements and will handle all compliance matters on your behalf. Having all legal requirements addressed can give you the peace of mind that your affairs are in order and in accordance with the law.
Knowing more about the role of a property management company can help you decide whether to hire one to handle your property.
